Biz Break: Google, Netflix and other tech stocks roar back in market rally

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NEW YORK, NY - AUGUST 26: Traders work on the floor of the New York Stock Exchange on the morning of August 26, 2015 in New York City. After a volatile week of fluxuations the Dow Jones opened 400 points higher this morning. (Photo by Andrew Burton/Getty Images)

Google’s stock, which closed down on Tuesday, was up 7.72 percent on Wednesday closing at $659.74. Goldman Sachs upgraded the tech firm’s stock from a “neutral” rating to a “buy” because of more optimism around mobile search and YouTube dollars, Yahoo Finance reported.

Netflix’s stock was also upgraded by RBC Capital after a survey of Internet users, Investor’s Business Daily reported. The video-on-demand company’s stock closed up 8.48 percent to $110.13.

Even Twitter, which has taken a hit in the stock market as uncertainty swirls about the company’s new CEO, saw its stock jump on Wednesday, closing up 2.67 percent.

SV150 market report: U.S. stocks break losing streak

The U.S. stock market surged on Wednesday after a miserable week of trading and fears from investors about China’s economy.

“It’s a nice reflex rally today but it still hasn’t come close to retracing… the decline,” Marc Chaikin, CEO of Chaikin Analytics, told CNBC. “This is a bounce, just short covering. Very typical.”

Investors and traders are still bracing themselves for volatile trading.

“I don’t think we’ve seen the earnings impact of the emerging markets slowdown,” Darren Wolfberg, head of U.S. cash equity trading at BNP Paribas, told the Wall Street Journal.

Meanwhile in Silicon Valley, Facebook is testing a new personal digital assistant called “M” in its messaging app that completes tasks such as shopping, delivering gifts and booking appointments, David Marcus, the company’s vice president of messaging products, announced on Wednesday . The company’s stock was up 5.05 percent to $87.19 on Wednesday.

Queenie Wong covers social media businesses, including Facebook, Twitter and LinkedIn, for The Mercury News. She grew up in Southern California and is a graduate of Washington and Lee University where she earned bachelor's degrees in journalism and studio art.